US average 30-year mortgage rate declines to 3.48 per cent

WASHINGTON — Long-term U.S. mortgage rates edged lower this week.

Mortgage giant Freddie Mac says the average for the 30-year fixed-rate mortgage declined to 3.48 per cent from 3.50 per cent last week. The benchmark rate is down from 3.86 per cent a year ago, and is close to its all-time low of 3.31 per cent in November 2012.

The 15-year fixed mortgage rate eased to 2.76 per cent from 2.77 per cent.

Prices of long-term U.S. Treasury bonds rose, pushing their yields lower, as investors awaited the decision of the Federal Reserve Wednesday on interest rates. The Fed kept its key interest rate unchanged but signalled that it likely will raise rates before year’s end. Long-term mortgage rates tend to track the yield on 10-year Treasury notes.